Nottingham fire station row sees £2.7m settlement
A fire authority and city council are to pay £2.7m in an out-of-court settlement to a developer following a failed land deal in Nottingham.
Gladman Commercial Properties (GCP) said Nottinghamshire Fire Authority and Nottingham City Council had "misrepresented" the sale.
The dispute was over Dunkirk Fire Station and an adjoining site.
GCP said the "sales particulars" had indicated the sites could accommodate a 600-bedroom development.
The fire station was sold to the developer for £4.2m in 2007 along with an adjoining site for £1.8m.
But the deal fell through and both sides began legal action.
The case was due to be heard in the High Court but a settlement has now been reached.
Darrell Pulk, Nottinghamshire Fire Authority chairman, said there would be an inquiry where "all the information will come out".
A statement from Gladman Commercial Properties said: "Gladman are pleased to confirm that Nottingham City Council and Nottinghamshire Fire Authority have paid £2.7m to Gladman in damages and costs in an out-of-court settlement reached between the parties to halt the High Court trial in which Gladman had alleged fraudulent misrepresentation against the two authorities."
Fire Brigades Union chairman Phil Coates criticised the deal and said: "We're supposed to be saving over £1m over fire cuts. That money could have saved the fire engines that we're losing."